Peter Lynch's formula is:
Prudential Fair Value
= Earnings Growth Rate x TTM EPS
Prudential Fair Value
= 25.00 x 5.72
Prudential Fair Value
= 142.91
The earnings growth rate we use in the formula is the average growth rate
of net income/earnings over the last 5 years. If the TTM EPS is negative, we do not compute Peter
Lynch's formula for that stock. If the average growth rate is smaller than 5%, we set it to 5%. If
it is larger than 25%, we set it to 25%.
|
Historical Earnings |
|
|
|
2018-12-31 |
2019-12-31 |
2020-12-31 |
2021-12-31 |
2022-12-31 |
5Y Avg |
|
| Net income |
4,074.00 |
4,186.00 |
-374.00 |
7,724.00 |
-1,438.00 |
2,834.40 |
| YoY growth |
-48.19% |
2.75% |
-108.93% |
2,165.24% |
-118.62% |
378.45% |